HB 0545

1	A bill to be entitled
2	An act relating to affordable housing; amending s. 421.02,
3	F.S.; revising a legislative declaration relating to
4	blighted areas; amending s. 421.08, F.S.; authorizing
5	certain housing authorities to create business entities
6	for certain purposes; providing requirements and
7	limitations; authorizing such authorities to provide for
8	per diem, travel, and other expenses; amending s. 421.09,
9	F.S.; providing construction; amending s. 421.23, F.S.;
10	revising a limitation on financial liabilities of such
11	authorities; repealing s. 421.54, F.S., relating to
12	limitations on housing authorities in Orange County and
13	Seminole County; providing an effective date.
14
15	Be It Enacted by the Legislature of the State of Florida:
16
17	Section 1.  Subsection (2) of section 421.02, Florida
18	Statutes, is amended to read:
19	421.02  Finding and declaration of necessity.--It is hereby
20	declared that:
21	(2)  Blighted Slum areas in the state cannot be revitalized
22	cleared, nor can the shortage of safe and sanitary dwellings for
23	persons of low income be relieved, through the operation of
24	private enterprise, and that the construction of housing
25	projects for persons of low income, as herein defined, would
26	therefore not be competitive with private enterprise.
27	Section 2.  Subsection (8) of section 421.08, Florida
28	Statutes, is renumbered as subsection (10), and subsections (8)
29	and (9) are added to said section, to read:
30	421.08  Powers of authority.--An authority shall constitute
31	a public body corporate and politic, exercising the public and
32	essential governmental functions set forth in this chapter, and
33	having all the powers necessary or convenient to carry out and
34	effectuate the purpose and provisions of this chapter, including
35	the following powers in addition to others herein granted:
36	(8)  To create for profit and nonprofit corporations,
37	limited liability companies, and such other business entities
38	pursuant to the laws of the state in which housing authorities
39	may hold an ownership interest or participate in their
40	governance to engage in the development, acquisition, leasing,
41	construction, rehabilitation, management, or operation of
42	multifamily and single family residential projects. These
43	projects may include nonresidential uses and may utilize public
44	and private funds to serve individuals or families who meet the
45	applicable income requirements of the state or federal program
46	involved, whose income does not exceed 150 percent of the
47	applicable Area Median Income as established by the United
48	States Department of Housing and Urban Development, and who, in
49	the determination of the housing authority, lack sufficient
50	income or assets to enable them to purchase or rent a decent,
51	safe, and sanitary dwelling. These profit and nonprofit
52	corporations, limited liability companies, or other business
53	entities are authorized and empowered to join partnerships,
54	joint ventures, limited liability companies, or otherwise engage
55	with business entities in the development, acquisition, leasing,
56	construction, rehabilitation, management, or operation of such
57	projects. The creation of such corporations, limited liability
58	companies, or other business entities by housing authorities for
59	the purposes set forth in this chapter, together with all
60	proceedings, acts, and things theretofore undertaken, performed,
61	or done are hereby validated, ratified, confirmed, approved, and
62	declared legal in all respects.
63	(9)  Notwithstanding the provisions for per diem and travel
64	expenses of public officers, employees, and authorized persons
65	set forth in s. 112.061, the governing board of an authority may
66	approve and implement policies for per diem, travel, and other
67	expenses of its officials, officers, board members, employees,
68	and authorized persons in a manner consistent with federal
69	guidelines.
70	Section 3.  Section 421.09, Florida Statutes, is amended to
71	read:
72	421.09  Operation not for profit.--
73	(1)  It is the policy of this state that each housing
74	authority shall manage and operate its housing projects in an
75	efficient manner so as to enable it to fix the rentals for
76	dwelling accommodations at the lowest possible rates consistent
77	with its providing decent, safe and sanitary dwelling
78	accommodations, and that no housing authority shall construct or
79	operate any such project for profit, or as a source of revenue
80	to the city. To this end an authority shall fix the rentals for
81	dwellings in its project at no higher rate than it shall find to
82	be necessary in order to produce revenues which, together with
83	all other available moneys, revenue, income and receipts of the
84	authority from whatever sources derived, will be sufficient:
85	(a)(1)  To pay, as the same shall become due, the principal
86	and interest on the debentures of the authority;
87	(b)(2)  To meet the cost of, and to provide for,
88	maintaining and operating the projects, including the cost of
89	any insurance, and the administrative expenses of the authority;
90	and
91	(c)(3)  To create, during not less than the 6 years
92	immediately succeeding its issuance of any debentures, a reserve
93	sufficient to meet the largest principal and interest payments
94	which will be due on such debentures in any one year thereafter,
95	and to maintain such reserve.
96	(2)  This section shall in no way prohibit or restrict the
97	activities or operations of the business entities created
98	pursuant to s. 421.08(8).
99	Section 4.  Section 421.23, Florida Statutes, is amended to
100	read:
101	421.23  Liabilities of authority.--In no event shall the
102	liabilities, whether ex contractu or ex delicto, of an authority
103	arising from the operation of its housing projects, be payable
104	from any funds other than the rents, fees or revenues of such
105	projects and any grants or subsidies paid to such authority by
106	the Federal Government, unless such other funds are lawfully
107	pledged by the authority's governing board.
108	Section 5.  Section 421.54, Florida Statutes, is repealed.
109	Section 6.  This act shall take effect July 1, 2005.

CODING: Words stricken are deletions; words underlined are additions.